devaluations. There are two types of fiscal policies equivalent to an exchange rate devaluation-one, a uniform increase in import …We show that even when the exchange rate cannot be devalued, a small set of conventional fiscal instruments can … robustly replicate the real allocations attained under a nominal exchange rate devaluation in a dynamic New Keynesian open …

Fiscal devaluations—an increase in import tariffs and export subsidies (IX) or an increase in value-added taxes and … payroll subsidies (VP)—have been shown to provide as much stimulus under fixed exchange rates as a currency devaluation. We … in response to VP in 2007. These findings cast doubt on fiscal devaluations as a cyclical stabilization tool when …

environment. Our aim is to develop an econometric model of the fiscal effects of VAT on the business performance of the …Fiscal policy stands as a crucial pillar of economic development through its economic financing function. The … highly in economic growth among European nations in absolute terms), partly due to a more assertive fiscal policy applied to …